Barclays have decided that they need to offload some of the IT jobs that they are deeming unnecessary. Barclays are cutting 400 IT jobs as they claim the roles of the employees are unclear. The move came after a review of the bank’s operations.
The bank released a statement on the subject, claiming, “Barclays continually reviews its operations and resources so that it functions as efficiently as possible as business needs and customer requirements evolve.
“As part of this process, we have identified some aspects of our technology operations where the organisational structure impedes performance, and roles and responsibilities for colleagues are unclear. In some cases, roles are obsolete or being duplicated elsewhere within the bank. This will affect around 400 positions – 158 permanent staff and 250 contractors. All of the roles affected are UK-based, principally in Cheshire and London. None of the roles are being offshored.”
Barclays are seemingly following their own trend as the redundancies come after the bank made 1,800 people unemployed in July. Most of these 400 jobs that are being cut now will be felt in the Radbroke Hall in Cheshire and London as well as Poole and Northampton.
The joint leader of Unite, Derek Simpson, said that the announcement would come as a severe hit for the IT employees at Barclays. He said, “At this time of economic uncertainty, staff across the industry are working under immense pressure and there is a great deal of nervousness regarding their job security.
“This loss of jobs, all of which are highly-skilled roles, is a serious loss to the UK’s skill base. Unite will be working with Barclays in order to avoid compulsory job losses and looking to explore all the opportunities for redeployment. Over the next few days Unite officials will be meeting with our members at all the sites impacted.”
However, it is too early to see whether compulsory cuts would be included in this latest batch of redundancies, claimed a spokeswoman, saying, “We have just started the consultation process. There will be a number of options for the people affected, including voluntary redundancy and the chance to apply for other roles.”
Barclays is not the only company facing necessary employment shedding as Marks and Spencer has recently announced that they would be losing 1,200 employees, both companies putting the unemployment rates down to the recession.
Marks and Spencer have been praised for taking action on the issue, by analysts, yet an equities analyst at Hargreaves Lansdown Stockbrokers, Keith Bowman, said that the problems that the company were dealing with should not be brushed under the carpet.
“Consumers globally are in retreat, the dividend payment is still under review and the group’s expansion into small food outlets is now in tatters. Competition will remain intense over the near term and the decline in the pound will be raising the cost of its imported products,” claimed Bowman.
Companies such as Marks and Spencers must be mindful in the wake of Woolworth’s collapse.